A $356 million contract for the construction of the Public Health Ministry’s head office is one of several multi-million-dollar contracts that have been approved by cabinet for the 2019 fiscal year. Combined, these contracts cost $3.8 billion.
On Friday, Minister of State Joseph Harmon read out a litany of new contracts. Of note is the fact that several of them feature increased costs from the original price tags. In the case of the contract for phase one the Public Health Ministry head office, this was awarded to Chung Global Enterprises.
Other contracts which were awarded included a contract for the Sophia Drop- in Centre, which was almost gutted by a fire in 2016. That contract is worth some $219 million, which turns out to be a revised sum.
“For the construction of a Drop-in Centre at Lot C Sophia, Ministry of Social Protection… this is a variation on the sum based on the additional work to be done on the building. So the original sum was $181 million, and the new sum is $219 million. That contract was awarded to PD Contracting,” Harmon revealed.
“For the construction of a visitor’s gallery and security hut at the Indian Immigration Monument, Palmyra, Region Six, the Ministry of Public Infrastructure, this is an increase of the sum originally budgeted for; from $38 million to $47 million. This had to do with an increase in the scope of work provided. This was awarded to Kascon Engineering Services.”
In addition, there are contracts for constructing living quarters and storage bond for the Guyana Revenue Authority.
In fact the storage bond, to be constructed at Corriverton, Berbice by Andre Vincente Construction Service, is slated to cost $124.8 million.
Then there are the roads. One such contract was for the construction of a new exit road from the Cheddi Jagan International Airport (CJIA) Terminal Building at Timehri.
According to Harmon, this contract will cost $56.5 million and was awarded to Puran Brothers Disposal Incorporated.
Also included in these contracts is one worth $558 million to construct a roundabout in Mahdia, Region Eight. In fact, this amount is an increase of $170 million from the previous budgeted sum. This contract was awarded to JR Ranch Incorporated.
There was a contract for road work in Pomeroon, awarded to R&B Investment Incorporated — that cost $41.1 million; a contract for road works in three lots in Regions Five and Six that has been split into three lots.
These are, Lot one: rehabilitation of Trafalgar access road for the sum of $53.6 million, rehabilitation of the main access road in Number 22 Village for $48.4 million, and rehabilitation of Last Street, Liverpool Village in Region Six, for$48.2 million. These contracts were awarded to A&A Engineering Services, Bardon Construction Services, and XL Engineering respectively.
A loan agreement totalling US$11.6 million was even approved by cabinet. Harmon revealed that the loan comes from the Inter-American Development Bank (IDB) and was signed last year.
“It is related to the strengthening of the energy sector project. Specifically, the loan will finance a policy-based reform programme for development of the oil and gas sector and cleaner energy sources for electricity generation. Cabinet approved the agreement and directed that it be laid in the National Assembly.”
These contracts come at a time when a no confidence motion has already been passed against the Government.